Pune University has introduced ‘Summer Project’ as a compulsory activity for students of MBA. ‘Practical Knowledge’ is an important milestone in developing the skills of management. Thus, at the end of first year, the students are required to undergo a summer project for a span of 60 days.

The purposes behind the project work can be summarised as follows:- 1) It gives the students their first exposure to an organisational set up. 2) It provides an opportunity of observing a business activity. 3) It enables the students to use the theoretical concepts in the actual business environment. 4) It is the best opportunity to communicate with the people working at different levels in the organisation & to get acquainted with their authorities & responsibilities. 5) It creates awareness in students about the real organisational problems & challenges faced by business. 6) It gives an idea about carrier opportunities available in future for students. 7) It gives the chance for students to apply logic in practically solving the recurring problems in business unit. 8) A project work always has a social relevance.

Chapter 1.2

SELECTION OF THE TOPIC

Over the last two decades, banks in India have expanded & diversified their lending activities with a view to provide services to the society. Banks are making every effort to provide financial & other types of support to the weaker section of the community. They are thus coming nearer to the common man & their involvement in the community development has further increased. Thus, the services provided by bank in this regard have been rightly designated as “Community Banking”.

The major portion of bank’s income is earned from interest charged on loans & advances. But the business of lending is not without certain inherent risks. Thus, a banker follows a very cautious policy & conducts his business on the basis of the well known principles of sound lending in order to minimise the risks. So it is essential to know the bank’s criteria for lending & its procedural aspects, which is termed as “Credit Appraisal System”.

Working capital is required to the industries for their day to day operations & thus financing Working Capital is the viable commercial activity for a bank. Hence, the following topic is selected for a Project:-

“A Study of Credit Appraisal System for Working Capital
Financing to Commercial & Agriculture Sector
With special reference to
State Bank of India, Nasik.”

Chapter 1.3

OBJECTIVES OF THE PROJECT

❖ To understand the meaning & importance of Credit Appraisal System.

❖ To study the eligibility criteria for sanctioning working capital loans to Commercial & Agriculture Sector.

❖ To analyse the procedure followed by the bank for sanctioning loans.

❖ To identify & suggest the scope for improvement in Credit Appraisal System of the bank.

Chapter 1.4

METHODOLOGY OF THE STUDY

‘Project Methodology’ is the procedure followed by the students for collecting the required data for project. The necessary information is collected by following two types of sources:-

Primary Sources of Data Collection:-Primary Data is the first hand data collected by following ways:- 1. Personal Interview: - By interviewing the Deputy Manager of the bank, essentials for loan sanctioning were understood. 2. Observation: - By observing the working of manager as well as employees in a bank, the actual procedure of loan sanctioning was understood.

Secondary Sources of Data Collection:-Secondary Data is the readymade or readily available data obtained from following...

...Bank
2. To analyze and understand the financial position of ING Vysya Bank viz – a – viz competitors.
3. To study the Agri Business Banking Department of ING Vysya Bank and its practices.
4. To assess procedures available for Agricultural credit rating.
ABSTRACT
I did my summer internship in ING Vysya bank. It was a Agriculture and rural banking department and it is located at JK towers Amritsar,punjab. On the first day I met the branch manager of the bank...

...
INTRODUCTION OF THE PROJECT
This project is done to understand, analyze and review the “CREDITAPPRAISAL SYSTEM” at “INDIAN BANK”.
The project is basically done to analyze the appraisal process carried out in the bank and the criteria’s set by the bank for obtaining loan. As part of the project, a proposal has been selected and studied fully whether it satisfies all the criteria’s of the bank and suggested whether the proposal can...

...of India, the largest bank at that time, was taken over by the government to form state owned, State bank of India (SBI). RBI undertook an exercise to reduce the fragmentation in the Indian Banking Industry by merging weaker banks with stronger ones. The total number of banks reduced from 566 in 1951 to 85 in 1969.
With the objective of reaching out to masses and servicing credit needs of all the industries, the government nationalized 14 large banks in 1969...

...SHAH & ANCHOR KUTCHHI ENGINEERING COLLEGE DEPARTMENT OF MANAGEMENT STUDIES
PROJECT SUBMITTED ON: 25/05/2013
PROJECT SUBMITTED BY: AKSHAYA.U.BHADALKAR
ROLL NO: 1
COMPANY NAME:
BANK OF INDIA
PROJECT REPORT ON: CREDITAPPRAISALS
1
GENERAL INFORMATION ABOUT THE BANK
Bank of India was founded on 7th September, 1906 by a group of eminent businessmen from Mumbai. The Bank was under private ownership and control till July 1969 when it was...

...CreditAppraisal means an investigation/assessment done by the banks before providing any Loans &amp; advances/project finance &amp; also checks the commercial, financial &amp; technical viability of the project proposed, its funding pattern &amp; further checks the primary &amp; collateral security cover available for recovery of such funds.
CreditAppraisal is a process to ascertain the risks associated with the extension of the...